When applying the principle of duality to the balance sheet equation, an increase in assets will not normally result in:
A) an increase in liabilities.
B) an increase in another asset.
C) an increase in owners' equity.
D) a decrease in another asset.

Question

Quizplus · Accepted Answer

An increase in assets typically results in an increase in liabilities or owners' equity, or a decrease in another asset, but not an increase in another asset.

When Applying the Principle of Duality to the Balance Sheet